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Considerations on the Role of Foreign Banks in the Improvement of Romanian Bank System's Performance

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Author Info
Daniel Badulescu (Universitatea din Oradea)

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Abstract

On the general background of restructuring and privatization processes in Romanian banking system, the presence of foreign capital recorded an increasingly trend after 1996, especially in the form of banks located in Romania. The foreign banks involved in Romania, especially multinational banks' affiliates, proved to be remarkable about capital adequacy and profitability. All these developments are driven both by the access to cheaper resources from their parent bank or other banks in the group and by a more pronounced propensity to risk, as they are fully covered.

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Publisher Info
Article provided by Asociatia Generala a Economistilor din Romania - AGER in its journal Theoretical and Applied Economics.

Volume (Year): 1(518) (2008)
Issue (Month): 1(518) (January)
Pages: 21-30
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Handle: RePEc:agr:journl:v:1(518):y:2008:i:1(518):p:21-30

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Related research
Keywords: Romania; foreign banks; financial intermediation; capital adequacy; profitability.;

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This page was last updated on 2009-12-16.


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